Michigan lawyer explains differences between workers’ comp and short term disability.
Many people are confused between Michigan workers’ comp and short term disability. They can end up getting shorted on payments if they apply for the wrong benefit. To help eliminate any confusion, we explain the differences to help ensure your legal rights are protected. Here is what everyone should know about the difference between the two.
What is workers’ comp?
Workers’ comp is a safety net for employees hurt on-the-job. Almost every business in Michigan is required to have it. It pays medical bills, attendant care, mileage to and from doctor appointments, home/vehicle medications, lost wages, and vocational rehabilitation.
Applying for it is as easy as telling the employer about the workplace accident and requesting medical and/or paid time off. These benefits continue for the length of disability and for as long as medical treatment is needed. Payments are income-tax free.
What is short term disability?
Short term disability is a type of insurance that covers lost wages if a person cannot work because of sickness or injury. It is usually purchased through employee payroll and does not cover work injuries. The amount and duration are defined by the insurance contract. Money paid is usually taxable.
Is workers’ comp the same as short term disability?
In Michigan, short term disability and workers’ comp are not the same and have different qualifications, rules, and payout schedules. Workman’ comp is guaranteed under Michigan law and continues indefinitely. Short term disability is typically based upon an insurance contract and usually ends after six months.
Can you get workers’ comp and short term disability at the same time?
In Michigan, employees who collect workers’ comp cannot also get short term disability. It is possible to get short term disability if workman’s compensation benefits have been denied. This money typically needs to be paid back if a double recovery later occurs.
What pays more workers’ comp or short term disability?
In Michigan, our experience shows that employers try to push individuals into using short term disability instead of workers’ comp. It is cheaper for them because it has a fixed end date and does not cover medical expenses. Workmans’ comp is almost always going to pay more for a serious injury.
Watch out for bad employers who want you to lie on the claim form about how or where the accident occurred. Promises to make up the difference under the table are rarely kept. Lies on claim forms can be used against a person if they ever file for a workmans comp case down the road. Do not fall into this trap and limit your recovery options!
Employees who find their workers’ comp claims disputed can get short term disability as a stop gap measure. Reimbursement from a settlement or award is typically required. This is a good strategy when a person needs money to survive and is waiting for their worker injury claim to be settled.
We recommend speaking to a lawyer anytime workman’s compensation and short term disability are paid. It is possible to avoid reimbursement to short term disability when the money received from workmans compensation is for a different time period. It is also possible that minimum payments are still owed under the short term disability policy regardless of workmans compensation. Call for a free telephone consultation and make sure all legal rights are protected.
Injured on the job in Michigan? Call now, our attorneys can help!
If you were injured on the job in Michigan, have questions about short term disability and workers’ comp and need help with your claim, call now to speak with an experienced attorney, or fill out our contact form for a free consultation. There is absolutely no cost or obligation. We’re here for you.
Our attorneys have been exclusively helping injured workers in Michigan for more than 35 years. Our attorneys can help you better understand Michigan laws and what happens after someone has been hurt on the job. To see what our own clients have to say about the caring, compassion, and communication they received from us, you can read in their own words about their experience here on our testimonials page from clients we have helped.
Michigan Workers’ Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled workers exclusively for more than 35 years. Call (844) 316-8033 for a free consultation today.